commitment to establish a truly efficient parts network in the U.S. Jungheinrich will now be able to guarantee it can deliver overnight, anywhere in the U.S., all parts stocked at the new warehouse.

The company's motives for undertaking the warehouse expansion are clear. Notes Michael Hendriksz, Jungheinrich's Director of Aftersales, "We're already the technological leader in Europe, but to get a foothold in the U.S. market,

we need to be better than the competition. By establishing a highly efficient "over-capacity" warehouse, we can ensure that we stock 95% of all parts that go into the trucks we sell here. This move will put to rest any concerns potential customers might have about parts scarcity from a European-based company."

Adds Hendriksz, "It's also important to mention we've introduced an express delivery program for the relatively small quantity of parts shipped from Germany. We'll guarantee to deliver those anywhere in the U.S. within 48 hours." The key to this capability is Jungheinrich's special arrangement with Federal Express that allows all shipped items to be pre-cleared with Customs the moment they leave the airport in Frankfurt. When the plane lands in Memphis or Newark, packages are delivered directly by FedEx to the dealer, or in some cases to the end user, bypassing Richmond.

The strategic development of Jungheinrich's new warehousing concept was undertaken in conjunction with its parent company in Germany, where a centrally-controlled system of parts distribution has been efficiently at work

for years. It was that high level of performance in Europe that Richmond wanted to match in its U.S. warehouse operations.

States Phil Keay, Manager of Jungheinrich's Parts and Service Support, about the new warehouse in Richmond, "We designed it for maximum efficiency. For example, all high-usage parts are located within 30 ft. of the packing

stations, with packing machinery ergonomically located above the packing tables. Parts are swiftly picked, boxed up and moved along to the freight terminals. The whole process takes less than 20 minutes, from order placement to initiation of delivery."

Notes Michael Hendriksz, "We were in cramped quarters before, but the warehouse area has now been increased by at least a factor of five." He reveals that concurrent to the warehouse move, the company headquarters are moving into new corporate facilities about three times the size of those they presently occupy. The spare parts warehouse move has been just the first phase of a general corporate relocation to a new site in Richmond.

Besides its storage function, the new warehouse will also contain some manufacturing activity, including production of hydraulic hoses, hose fittings and lift chains. Explains Keay, "We'll manufacture hoses here, because they

have a limited shelf life and demand a first-in first-out system. Also, since hoses and lift chains are dimension-wise specific to each vehicle model, it's simply easier for us to produce them here on demand. We'll also manufacture our exclusive press-on high-pressure hose fittings here for use on all our new trucks."

For more information about Jungheinrich's parts warehouse, contact Jungheinrich Lift Truck Corp., 5701 Eastport Boulevard, Richmond, VA 23231. Call 804-737-6084, Fax 804-737-6136. Or, visit the website at http://www.jungheinrich-us.com.

About Jungheinrich

Jungheinrich is the world leader in warehouse logistics technology. Founded over fifty years ago, the company has grown from its beginnings as a European manufacturer of materials handling equipment to an international supplier of industrial trucks, warehousing technology and materials-flow products. Today, it is a major supplier of forklift trucks around the globe, and offers a complete range of materials handling equipment, rack systems and services related to manufacturing logistics.

Jungheinrich's growth has been due in large part to the high value it has always placed on leading-edge design and technological innovation. This is seen, for example, in the company's proprietary 3-phase AC motor and controller technology, and in a host of productivity and ergonomic enhancements. Jungheinrich has more than 120 strategically-located service support centers and store operations in the U.S., and sales and service companies in countries around the industrialized world.